The AFV (Alternative Fuel Vehicle)division of General Motors produces gas-electric hybrids and other automobiles that run on ethanol,natural gas,and hydrogen.While current market share is small,GM is anticipating dramatic growth in the next few years as demand for alternative fuel vehicles skyrockets.Using the BCG matrix,GM would classify the AFV division as a ________.

Question

Quizplus · Accepted Answer

The BCG matrix categorizes businesses into four categories - cash cows, stars, question marks, and dogs. Question marks represent businesses with low market share but high growth potential. The AFV division of General Motors is in the process of developing and growing its market share in a rapidly expanding market. Therefore, it would be best classified as a question mark.

The AFV (Alternative Fuel Vehicle)division of General Motors Produces Gas-Electric